Lawn Care Biz Tips Part I: Lowering Your Taxable Income

August 18, 2021

In this video

• Common strategies for reducing taxable income

• Why buying equipment to lower your taxable income is not always the best idea

• Investing in a self-employed retirement plan as a way to lower your earnings

Pro tip: Don’t go buying equipment you don’t need. Especially if your goal is to lower your business’s taxable earnings.

As business owners, we’re all too aware of the fact that we’re taxed on our earnings each year. There are some common strategies out there for reducing your taxable income — which means owing less money to the government.

One common strategy is to buy a bunch of equipment at the end of the year, which lowers your earnings. While this sounds smart, it’s not always the best idea.

Instead of wasting money on tools you won’t end up using, consider investing in a self-employed retirement plan.

In this video—the first in a series of pro tips for business owners—I’ll go over the common ways to reduce your taxable income and the mistakes that are often made there.